The President and CEO of Sony Computer Entertainment, Ken Kutargi, has made a surprise statement following the news of the PS3 problems. Kutaragi is quoted by Reuters as having told reporters, "If you asked me if Sony's strength in hardware was in decline, right now I guess I would have to say that might be true."

Fan loyalty will ensure that the PS3 sells well (even if it were to be further delayed), but this comment won't encourage those people who still haven't made up their minds whether to invest in the hardware.

The PS3 has officially been delayed until March 2007 in Europe, Russia, Middle East, Africa and Australasia. The US haven't escaped the mass production problems and will only receive 400,000 PlayStation 3 units on Nov. 17, whereas Japan will receive approximately 100,000 consoles. This tough time for Sony is being made even more difficult by the fact that Microsoft are launching a HD DVD player and console package over the Christmas period. It's still too early to be drawing conclusions on who will win the next-gen and HD DVD Vs. Blu-Ray war, but Microsoft will be extremely happy with their head start.

Source : Beta news